Skyharbour Partner Company Azincourt Energy Reports Update on Geophysical Program at East Preston Uranium Project
Suite 1610 –777 Dunsmuir Street, Vancouver, BC, Canada, V7Y1K4
www.skyharbourltd.com
TSX-V Trading Symbol: SYH
Email: [email protected]
Telephone: (604) 687-3800
Facsimile: (604) 687-3119
December 10th, 2020
News Release
Skyharbour Partner Company Azincourt Energy Reports Update on Geophysical Program at
East Preston Uranium Project
Vancouver, BC - Skyharbour Resources Ltd. (TSX-V:SYH) (OTCQB:SYHBF) (Frankfurt:SC1P)
(the “Company”) is pleased to announce that its partner company Azincourt Energy’s (TSX.V: AAZ)
ground-based geophysical exploration program at the East Preston uranium project, located in the
western Athabasca Basin, Saskatchewan, is now 50% complete.
Preston Uranium Project Map:
http://skyharbourltd.com/_resources/maps/SYH-Patterson-Lake.pdf
The program is comprised of a horizontal loop electromagnetic survey (“HLEM”) consisting of a total
of 33 line-km of line-cutting and surveying. The survey commenced in late November and to date
16.5 line-km have been completed. The survey was originally scheduled for the summer but had
been delayed due to Covid-19 restrictions and disruptions.
The HLEM survey is being utilized to refine and prioritize ta rget areas where untested conductive
corridors have been identified in existing property wide airborne VTEM survey results. Unconformity
related uranium deposits associated with the Athabasca Basin are closely associated with basement
conductive packages. VTEM surveys have identified conductive corridors within the East Preston
land package and the HLEM survey will narrow down where within these corridors future drilling
should focus.
Target corridors at East Preston Uranium Project, Western Athabasca Basin Saskatchewan:
https://www.skyharbourltd.com/_resources/maps/Target-Corridors-East-Preston.png
“We’re eager to continue drilling East Preston,” said Alex Klenman, President & CEO of Azincourt
Energy. “We know the area is target rich and we’ve only drill tested a handful to date. The additional
geophysics will add to the targeting and help refine priority areas. In addition, this round of work will
allow us to meet the spend threshold of the option agreement with Skyharbour and Dixie. It’s a
significant milestone for the company,” continued Mr. Klenman.
Bingham Geoscience of Saskatoon continues to oversee Azincourt’s geophysical programs and
interpretation work. Patterson Geophysics of La Ronge, Saskatchewan, is conducting the program.
Proposed areas for upcoming HLEM survey at the East Preston Uranium Project:
https://www.skyharbourltd.com/_resources/maps/HLEM-Survey-East-Preston.png
About East Preston:
Skyharbour and Dixie Gold Inc. (“Dixie Gold”) entered into an Option A greement (the “Agreement”)
with Azincourt whereby Azincourt has an earn-in option to acquire a 70% working interest in a portion
of the Preston Uranium Project known as the East Preston Property. Under the Agreement, Azincourt
has issued common shares and will contribute cash and exploration expenditure consideration
totaling up to CAD $3,500,000 in exchange for up to 70% of the applicable property area over three
years. Of the $3,500,000 in project consideration, $1,000,000 will be in cash payments to Skyharbour
and Dixie Gold, as well as $2,500,000 in exploration expenditures over the three -year period.
Skyharbour and Dixie Gold agreed to extend the deadline for the remaining obligations owing to
complete the acquisition of a 70% interest in the Project, w hich include incurring a small portion of
the exploration expenditures remaining on the Project and completion of a final cash payment of
CAD $400,000 (see News Release dated April 16, 2020). The deadline for these obligations has
been extended through unt il March 31 st, 2021 and in consideration for the extension, Azincourt
issued common shares to Skyharbour and Dixie Gold.
Three prospective conductive, low magnetic signature corridors have been discovered on the
property. The three distinct corridors have a total strike length of over 25 km, each with multiple EM
conductor trends identified. Ground prospecting and sampling work completed to date has identified
outcrop, soil, biogeochemical and radon anomalies, which are key pathfinder element s for
unconformity uranium deposit discovery.
The East Preston Project has multiple long linear conductors with flexural changes in orientation and
offset breaks in the vicinity of interpreted fault lineaments – classic targets for basement -hosted
unconformity uranium deposits. These are not just simple basement conductors; they are clearly
upgraded/enhanced prospectivity targets because of the structural complexity.
The targets are basement-hosted unconformity related uranium deposits similar to NexGen’s Arrow
deposit and Cameco’s Eagle Point mine. East Preston is near the southern edge of the western
Athabasca Basin, where targets are in a near surface environment without Athabasca sandstone
cover; therefore, they are relatively shallow targets but can have great depth extent when discovered.
The project ground is located along a parallel conductive trend between the PLS -Arrow trend and
Cameco’s Centennial deposit (Virgin River-Dufferin Lake trend).
Qualified Person:
The technical information in this news release has been prepared in accordance with the Canadian
regulatory requirements set out in National Instrument 43 -101 and reviewed and approved by
Richard Kusmirski, P.Geo., M.Sc., Skyharbour's Head Technical Advisor and a Qualified Person.
About Skyharbour Resources Ltd.:
Skyharbour holds an extensive portfolio of uranium and thorium exploration projects in Canada's
Athabasca Basin and is well positioned to benefit from improving uranium market fundamentals with
six drill-ready projects. Skyharbour has acquired from Denison Mines, a large strategic shareholder
of the Company, a 100% interest in the Moore Uranium Project which is located 15 kilometres east
of Denison's Wheeler River project and 39 kilometres south of Cameco's McArthur River uranium
mine. Moore is an advanced stage uranium exploration property with high grade uranium
mineralization at the Maverick Zone with drill results returning up to 6.0% U3O8 over 5.9 metres
including 20.8% U3O8 over 1.5 metres at a vertical depth of 265 metres.
Skyharbour has option agreements with Orano Canada Inc. and Azincourt Energy whereby Orano
and Azincourt can earn in up to 70% of the Preston Project through a combined $9,800,000 in total
exploration expenditures, as well as $1,700,000 in total cash payments and Azincourt shares.
Preston is a large, geologically prospective property proximal to Fission Uranium's Triple R deposit
as well as NexGen Energy's Arrow deposit.
The Company owns a 100% interest in the South Falcon Uranium Project on the eastern perimeter
of the Basin whic h contains a NI 43 -101 inferred resource totaling 7.0 million pounds of U3O8 at
0.03% and 5.3 million pounds of ThO2 at 0.023%. Recently, Skyharbour signed a LOI with Australian
company Pitchblende Energy, which is being acquired by ASX-listed Valor Resources, on the North
Falcon Uranium Project whereby Pitchblende can earn-in 80% of the project through $3,500,000 in
total exploration expenditures and $475,000 in total cash payments over three years as well as
shares in the company.
Skyharbour's goal is to maximize shareholder value through new mineral discoveries, committed
long-term partnerships, and the advancement of exploration projects in geopolitically favourable
jurisdictions
Skyharbour’s Uranium Project Map in the Athabasca Basin:
http://skyharbourltd.com/_resources/maps/SYH-Athabasca-Map.pdf
To find out more about Skyharbour Resources Ltd. (TSX -V: SYH) visit the Company’s website
at www.skyharbourltd.com.
SKYHARBOUR RESOURCES LTD.
“Jordan Trimble”
Jordan Trimble
President and CEO
For further information contact myself or:
Spencer Coulter
Corporate Communications
Skyharbour Resources Ltd.
Telephone: 604-687-3800
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: [email protected]
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RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
This release includes certain statements that may be deemed to be "forward -looking statements". All
statements in this release, other than statements of historical facts, that address events or developments that
management of the Company expects, are forward -looking statements. Although management believes the
expectations expressed in such forward -looking statement s are based on reasonable assumptions, such
statements are not guarantees of future performance, and actual results or developments may differ materially
from those in the forward-looking statements. The Company undertakes no obligation to update these forward-
looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors
that could cause actual results to differ materially from those in forward -looking statements, include market
prices, exploration and developme nt successes, continued availability of capital and financing, and general
economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for
further information.